The Law Offices of Vincent Wong announce that a class action lawsuit has been commenced in the United States District Court for the Northern District of California on behalf of investors who purchased Yelp Inc. (NYSE : YELP) securities between February 9, 2017 and May 9, 2017.
According to the complaint, throughout the Class Period defendants made false and/or misleading statements and/or failed to disclose that: (i) Yelp’s transition from a Cost-Per-Thousand-Impressions (“CPM”) to a Cost-Per-Click (“CPC”) model in Fiscal 2016 created a distinct cohort of local advertisers that would reach the end of their contracts during the first part of Fiscal 2017; (ii) new customers that signed up with Yelp under the CPC pricing model had lower retention rates because the customers did not effectively compete with Yelp’s more established customers; and (iii) that, as a result of the lower retention rates, Yelp was not on track to achieve its financial guidance or results during the Class Period. On May 9, 2017, the Company announced their first quarter 2017 financial results and announced it was revising its full year 2017 guidance to reflect poor retention rates with existing customers.
If you suffered a loss in Yelp Inc. you have until March 19, 2018 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn’t require that you serve as a lead plaintiff.
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